Construction Contract With Subcontractor In Palm Beach

State:
Multi-State
County:
Palm Beach
Control #:
US-00462
Format:
Word; 
Rich Text
Instant download

Description

This form is a Construction Contract. The form contains the following subjects: scope of work, work site, and insurance. The contractor's warranty is limited to defects in workmanship within the scope of the work performed by the contractor.


What is a Construction contract agreement?


If you’re planning to build, renovate or reconstruct your house, you will need to enter into a contract for home construction with the building contractor, defining your mutual rights and responsibilities. This agreement contains project specifics, the contractor’s license and insurance details, the requested scope of work, etc. It may also determine the potential lien on the property should the work not be paid in full.


Types of construction contracts


Depending on the payment arrangements determined by parties, there are four basic types of home builders’ contracts:


1. Fixed price (or lump-sum) agreements set the price for the completed job right from the start. Although fixed, the document may also include provisions defining penalties (for example, if the constructor fails to finish the work on schedule).


2. Cost plus construction agreements set the price for the finished work based on building materials and labor with additionally mentioned “plus” (a percentage of the total costs or a fixed fee).


3. Time and material agreements set the price for the work without a “plus,” but the client pays the contractor a daily or hourly rate while they are under contract.


4. Unit-price agreements are standard in bidding, particularly for federal building projects. Both owner and contractor define the price that the contractor charges for a standard unit without any specific extra fees for other units.


The first two types of contract for home construction mentioned are the most popular ones. Let’s take a closer look at them.


Fixed price vs. cost-plus contract benefits


The fixed price agreement benefits owners more than builders, as it determines at the moment the parties seal the deal the exact price the contractor will get after they complete all the work. Builders risk not getting the estimated profits they initially anticipated, as expenses may increase significantly but remain the constructor’s responsibility.


The cost-plus construction deal contains the evaluation of the final project cost; however, it doesn’t determine the final contract price until the contractor completes all the work. Unlike the fixed-price agreement, it separates expenses and sets the profit rate (as a percentage of the final project cost or as a flat amount), so contractors prefer this type of agreement; it is riskier for homeowners.


Information you should provide in the construction contract agreement


The presented Construction Contract for Home is a universal multi-state construction contract template. This sample describes typical terms for a home building contract. Download a printable document version from our website or amend and fill it out online. Make sure to provide the following information:


• Name and contact details of the contractor and their license number;


• Name and contact details of the homeowner;


• Property legal description from county clerk’s records;


• Project description with blueprints and building specifications;


• Scope, description of work, and its estimated final dates;


• Costs of work and responsibilities of parties for any breach of contract.

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  • Preview Construction Contract for Home - Fixed Fee or Cost Plus
  • Preview Construction Contract for Home - Fixed Fee or Cost Plus

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FAQ

Florida General Contractor License Requirements Business Entity Registration. Proof of Financial Stability. Work Experience and Passing the Exam. Submit Application and License Fees. Provide Your Insurance Information and Proof of a Surety Bond. Show Proof of Worker's Compensation Insurance.

Florida General Contractor License Requirements Business Entity Registration. Proof of Financial Stability. Work Experience and Passing the Exam. Submit Application and License Fees. Provide Your Insurance Information and Proof of a Surety Bond. Show Proof of Worker's Compensation Insurance.

8 Steps to Start Your Own Construction Business Research Your Local Market. Where to Find Construction Market Research. Write Your Business Plan. Register Your Business. Find the Right Licenses & Permits. Secure Insurance & Liabilities. Building Relationships With Material Suppliers. Get the Funding You Need. Grow Your Business.

Register online through the TOPB Citizen Access Portal. Or Visit our office with a copy of your Certificate of Competency from the State of Florida or Palm Beach County, whichever is applicable.

The Construction Industry Licensing Board is responsible for licensing and regulating the construction industry. The board meets regularly to consider applications for licensure, to review disciplinary cases, and to conduct informal hearings relating to licensure and discipline.

Types of general contractor license in Florida License TypesDescription Certified General Contractor (Business) License holders may operate a general contracting business that works on both commercial and residential projects of any size.3 more rows •

To get a Certified Contractor's License, the Florida Construction Industry Licensing Board requires that you are approved at the state level. There are two classifications for this licensing: Certified Contractor License – issued at the State level. Registered Contractor License – issued at the local level.

The Department of Business and Professional Regulation (DBPR) and the Construction Industry Licensing Board (CILB) are responsible for the licensing and regulation of Contractors.

If your project has a well-defined scope of work, a lump sum contract is a straightforward solution since contractors should be able to accurately estimate costs. If the project scope is unclear, contractors can bid with time and materials contracts to mitigate risk.

10 Different Types of Contracts Type of ContractEveryday Use Implied Contracts Common in everyday transactions like dining out. Express Contracts Standard in formal business agreements. Simple Contracts Used for straightforward services or transactions. Unconscionable Contracts Often challenged in court for fairness.10 more rows •

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Construction Contract With Subcontractor In Palm Beach